1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
katrin [286]
4 years ago
7

L Corporation produces and sells 15,100 units of Product X each month. The selling price of Product X is $21 per unit, and varia

ble expenses are $15 per unit. A study has been made concerning whether Product X should be discontinued. The study shows that $72,000 of the $101,000 in monthly fixed expenses charged to Product X would not be avoidable even if the product was discontinued. If Product X is discontinued, the annual financial advantage (disadvantage) for the company of eliminating this product should be: Multiple Choice $10,400 ($61,600) ($39,400) $39,400
Business
1 answer:
swat324 years ago
8 0

Answer:

If Product X is discontinued, the company’s overall net operating income would: increase by $61,600

Explanation:

                                          Not drop        Drop       Difference

Sales                                   317,100                           317,100

(15100*21)

Less: Variable expenses   <u> 226,500</u>                         <u>226,500 </u>

(15,100 * 15)

Contribution margin            90,600                          90,600

Less: fixed expenses          <u>101,000</u>       72,000      <u>29,000 </u>

Net operating income      <u>-$10,400</u>                         <u>$61600</u>

<u></u>

Conclusion: If Product X is discontinued, the company’s overall net operating income would: increase by $61,600

You might be interested in
As cm cms cmc d nv wn ve enenv en n env nev envennv env env env en nv
Anvisha [2.4K]

Answer:

rudr6ityoxr6%eusrzt

Explanation:

7 0
3 years ago
Which document should a job seeker send with a résumé to a potential employer?
lesya692 [45]
A. educational certificate because if you are still in high school that's all you have and if you are an adult they need to know if you are graduated have your GED or graduated from college
4 0
4 years ago
Read 2 more answers
Once a manager has identified a problem, he or she can generate alternatives to that problem. after this is done, the manager
Liula [17]
<span>The manager will weigh the pros and cons of each alternative before implementing the solution. The manager should look at each alternative and list the benefits and the negatives for each alternative. After reviewing the list of benefits and negatives for each alternative, the manager can eliminate the alternatives that possess too many negatives or cons. The alternatives with the most benefits should be considered more carefully. The manager should then implement the alternatives with the most benefits or pros on a trial basis. The alternative with the best results is the one that is deemed useful, permanent and beneficial to the company.</span>
3 0
3 years ago
Your uncle is about to retire, and he wants to buy an annuity that will provide him with $75,000 of income a year for 20 years,
Nataly_w [17]

Answer:

The annuity will cost him $963,212.95.-

Explanation:

Giving the following information:

Cash flow= $75,000

Interest rate= 0.0525

n= 20

First, we need to calculate the final value. We will use the following formula:

FV= {A*[(1+i)^n-1]}/i + {[A*(1+i)^n]-A}

A= annual cash flow

FV= {75,000*[(1.0525^20) - 1]/0.0525} + {[75,000*(1.0525^20)] - 75,000}

FV= 2,546,491.88 + 133,690.82= $2,680,182.70

Now, the present value:

PV= FV/(1+i)^n

PV= 2,680,182.70/(1.0525^20)

PV= $963,212.95

4 0
3 years ago
State fully the need for, and the uses of, a postal remittances book.​
skelet666 [1.2K]

Answer:

Postal Remittance Book - a book kept for recording money received through the mail.

Explanation:

4 0
2 years ago
Other questions:
  • Mary magnolia has variable costs equal to y2/f, where y is the number of bouquets she sells per month and where f is the number
    13·1 answer
  •  Question:
    6·1 answer
  • Want is a trial balance​
    9·2 answers
  • John deposited $2,000, at the end of every month for 2 years in a savings account. if the account paid 6% interest, compounded m
    8·1 answer
  • In a dealer market, some dealers hold a certain inventory of specific securities and create a liquid market by purchasing and se
    14·1 answer
  • Mexican american farm workers in california organized ________ to demand higher pay from their employers
    14·1 answer
  • A discontinuous innovation is a product that:___________
    10·2 answers
  • In Russia, suppose GDP per capita grows by 9.0 % per year for 31 years . By how many times does this economy grow?
    7·1 answer
  • A monopoly exists when _____ provides a good or service.
    5·1 answer
  • The Sustainability Accounting Standards Board was established to develop _____ standards for businesses' sustainability activiti
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!